Bitcoin Price Eyes $50k Backed By Spot Bitcoin ETF Euphoria and BTC Halving

Bitcoin price to $50k next? Optimism surrounding the potential approval of the first Bitcoin spot ETF is fueling the bullish outlook that has seen BTC price rise to tap a new 2023 high at $38,000.

Popular crypto investor and analyst Michaël van de Poppe said via Twitter (now X) that the resistance between $38,000 and $40,000 was anticipated and was critical for the continuation of the uptrend.

Therefore, with Bitcoin price retreating to $36,315 at the time of writing, “consolidation beneath (the resistance) is the best, and the first test isn’t usually a breaker.”

Can Bitcoin Price Rally To $50,000 Pre-Halving

The spot ETF narrative has been the force driving Bitcoin price higher. However, in the long term, investors and enthusiasts expect the bull run to be fueled by the upcoming BTC halving in April 2024.

This event, which takes place every four years, will slash miner rewards in half, thus significantly reducing the supply of BTC. Bitcoin price rallied significantly in these four-year cycles in the past, which tend to repeat themselves.

The pre-halving rally could blast Bitcoin to the range between $45,000 and $50,000, but Poppe predicts “a heavy correction back to $32,000-$35,000” followed by a consolidation ahead of the actual rally, which another analyst, Rekt Capital suggests will “peak… around 518-546 days after the halving,” placing the bull run’s “peak in mid-September or mid-October 2025.”

BTC Price Hits New 2023 Highs; What’s Next?

Bitcoin price rallied in tandem with Ethereum price, which currently holds above $2,000 for the first time since July following BlackRock’s bid to operate an Ethereum spot ETF.

Recommended for you: Can Ethereum Price Take A Gigantic Leap To $3,000 As BlackRock Files First ETH Spot ETF?

The upswing cleared resistance at $37,000 but as mentioned, it stalled on reaching $38,000. As Poppe indicated in another post on X, this formed a temporary top, resulting in the liquidation of long positions.

With support anticipated above $36,000, Bitcoin price might soon resume the uptrend to retest resistance between $38,000 and $40,000. Indicators like the Moving Average Convergence Divergence (MACD) affirm the bullish outlook.

In addition to the buy signal, as presented by the MACD, a bullish cross is on the way, with the 50-week Exponential Moving Average (EMA) (red) moving above the 100-week EMA (blue).

However, traders should be aware of a forming rising wedge pattern hinting at a trend reversal, especially if resistance at $40,000 is not broken and declines shoot below the wedge. Note that movement below the wedge pattern support could trigger a sell-off where Bitcoin price would be expected to sweep liquidity between $30,000 and $32,000.

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